Bursa Malaysia May Face Volatility Next Week Amid US Govt Shutdown Concerns

Bursa: The FTSE Bursa Malaysia KLCI (FBM KLCI) futures contract on Bursa Malaysia Derivatives is expected to experience volatility next week if the United States federal government shutdown continues. IPPFA Sdn Bhd’s director of investment strategy and country economist Mohd Sedek Jantan indicated that the prolonged US government shutdown might generate uncertainty in global markets, potentially affecting Malaysia’s futures market.

According to BERNAMA News Agency, domestic attention will shift to the tabling of Budget 2026 on October 10. Investors are anticipated to adopt a selective approach, positioning themselves cautiously ahead of the fiscal announcements, which are expected to influence sentiment as the year progresses. Meanwhile, Rakuten Trade Sdn Bhd’s vice-president of equity research, Thong Pak Leng, maintains an optimistic outlook as long as the benchmark index remains above 1,620, which could pave the way for a movement toward 1,650. Thong anticipates that the FBM KLCI will trend within the 1,620-1,650 range next week.

On a weekly basis, the spot-month November 2025 stood at 1,631.00. October 2025 advanced 25.5 points to 1,631.50, December 2025 increased 30.5 points to 1,628.50, and March 2026 rose 32 points to 1,609.00. Turnover for the week decreased significantly to 52,286 lots from 137,491 lots the previous week, while open interest fell to 52,286 contracts from 87,049 contracts previously. On a Friday-to-Friday basis, the FBM KLCI gained 26.01 points, reaching 1,635.06 from last week’s 1,609.05.